COMPLIANCE HOW TO MITIGATE RISK IN YOUR CONTINGENT WORKFORCE STRATEGY
AGENDA 8:00 Registration, breakfast, coffee & tea 8:30 Introductions (Richard Eardley - MD Hays Ireland) 8:35 Risk Mitigation How To Manage A Compliant Workforce (Vince Lattimore Global Talent Source Lead, Microsoft Corporation Ireland) 9:10 How To Build Governance (Shelley Williams Senior Associate, Brightfield Strategies) 9:45 Q&A 10:00 Close
Content Welcome and About me The process Implementation Governance AOB and Thank you Microsoft Confidential Privacy Statement
Contingent staff levels Time & Materials e.g. Errors, Rework, Resources Risk Transfers Need for objective Measures Managed Service / SOW Risk premium is added Financial Certainty BPO measurement by outputs Microsoft Confidential Privacy Statement
What are Contractors? Is this person going to be paid on Time & Materials? Will the work be Microsoft FTE-Driven? Will Microsoft be identifying and selecting the individual? Contractor s YES YES YES Microsoft Confidential Privacy Statement
Microsoft Confidential Privacy Statement
Local issues HR / the business were the central point of contact for Hiring Managers Lack of competitive process in the acquisition of CS Microsoft Confidential Privacy Statement
Managing External Staff Current State Future State Microsoft Country A Microsoft Country B Supplier 1 Supplier 2 Supplier 1 Supplier 2 Supplier 3 Supplier 4 Supplier 3 Supplier 4 MSP 1 MSP 2 Supplier 5 Supplier 6 Supplier 5 Supplier 6 Country A Country C Microsoft Country C Microsoft Country D - Supplier 1 - Supplier 2 - Supplier 3 - Supplier 4 - Supplier 1 - Supplier 2 - Supplier 3 - Supplier 4 Supplier 1 Supplier 2 Supplier 3 Supplier 4 Supplier 1 Supplier 2 Supplier 3 Supplier 4 Country B - Supplier 1 - Supplier 2 - Supplier 3 - Supplier 4 Country D - Supplier 1 - Supplier 2 - Supplier 3 - Supplier 4 Supplier 5 Supplier 6 Supplier 5 Supplier 6 Microsoft Confidential Privacy Statement No Managed Service Provider Model Managed Service Provider Model One-to-One Relationship, Standardized Across the Enterprise
A Problem Statement: The contractor sourcing process Single Sourcing Lack of competition results in defaulting to the max rates or budget ceiling Limited (or no) visibility to multiple candidates and suppliers results in lower quality resources Limited supply channel effects quality of applicants Inaccurate Levelling Suppliers often determine resource level based on candidate availability and budget rather than job scope Suppliers designate resource level, pricing the Resource to the budget Poor User Experience Suppliers can influence a stakeholder s decision regarding engagement (Temp v Contractor) Confusing and time-consuming process to initiate a request, choose a supplier and release request with no Procurement guidance Limits ability to comply with new and changing business requirements Microsoft Confidential Privacy Statement
Contractor Hub A Case for Change Problem Solution Benefits People Lack of consistent management around external staff Improved controls through common platform Accurate resourcing Automated processes Process Lack of consistency Standardization, automation and dedicated program office support Controls Consistent staffing process Technology Lack of consistency in tool use & capability Flexible tool to meet business needs and local requirements Single tool for CS resources Ease of use Planning: Reporting / Analytics Lack of visibility into external staff worldwide Improved reporting, including tracking spend against budget Increased visibility Cost controls Microsoft Confidential Privacy Statement
Microsoft Confidential Privacy Statement
External Staff Onboarding Process MSP/AM completes requisition in MyOrder MyOrder Request SAFE approval SAP sends email to AccMan for Account / Alias Setup AccMan receives feed from SAP SAP Receives alias from AccMan ADFS receives alias from SAP CHPO onboards resource in HTX Is start date within 3 days of current date? CSO keys position and personnel info into SAP Assignment & Alias published in Feedstore (EDS) ICOE pulls data from Feedstore and Creates Domain XML Feeds ICOE places domain feeds on External Share CWT imports domain feeds from External Share Is current date equal or after start date? MS People receives assignment data (from SAP) ICOE Contractor Workforce Tool Lenel Key Card requested in Lenel Assignment data published in HTX from Feedstore Microsoft Confidential Privacy Statement
Procurement Model: Then & Now Current State Future State Microsoft Confidential Privacy Statement
Microsoft Confidential Privacy Statement
Contractor Hub Implementation Model Microsoft Partners Country Stakeholders (GPG, Finance, HR, LCA) GPG Contractor Hub Finance Solution Delivery Local Contractor Hub Program Office MSP Implementation Team MSP Executive Leadership Contractor Workforce Tool My Order HeadTrax MS Invoice Microsoft Confidential Privacy Statement
Microsoft Confidential Privacy Statement
Global Footprint CA RU IE WE UK US IN SG NZ AU Microsoft Confidential Privacy Statement Private and Confidential 2015 V. Lattimore Microsoft
Microsoft Confidential Privacy Statement
There are three constituents to the functioning of the programme in country Market MS MSP Metrics should be important Objectively measureable It is within the control / attributable to one party Microsoft Confidential Privacy Statement
Key points Microsoft Confidential Privacy Statement
Thank you Microsoft Confidential Privacy Statement
How to Build Governance 23 June 2015
Contingent Workforce Programme Governance The function of the governance team is to drive the alignment of programme strategies, goals, and activities across all divisions within programme scope, and to ensure the solution consistently delivers expected results. Benefits of Governance Ensures organisational alignment with programme Facilitates adoption Provides avenue for stakeholder input Escalates programme visibility and value to an executive level Drives program maturity Promotes collaboration across divisions and business units Focuses on continuous improvement and programme success Risks of Limited Governance Limited visibility and value recognition Stagnant programme growth/maturity Poor programme performance Ineffective escalation path Misalignment between programme initiatives and organizational objectives Challenges with adoption/rogue spend Lack of compliance with policies/processes Ineffective communication approach 1
Governance Team Structure The Governance Team structure is designed to promote collaboration. A governance model includes the following key components: Participants Roles Responsibilities Executive Sponsor Steering Committee CW Programme Owner Divisional Programme Owners Provider Relationship Owners Programme Operations Operational Execution (meetings, communications, tools) Each participant is given a specific role and each role has defined responsibilities 2
Governance Team Functions Operational Oversight Strategy and Planning Change Management Escalation path internally and for providers (VMS/MSP) Compliance management of SLAs, KPIs, savings targets Adherence to company policies and legislative changes Risk and issue management Supplier optimisation strategy Operational efficiency Organisational alignment with programme initiatives and roadmap Programme expansion strategy Programme improvement initiative planning cost, quality, efficiency, risk Policy design and modification Legislative/industry change management Top down communication from executive sponsor(s) Stakeholder input BU, functional, providers (VMS/MSP) Program communications strategy Visibility into programme success and realised value 3
Draft Governance Model Programme Operations Programme Oversight Executive Sponsor Steering Committee Programme Owner Divisional Owners PMO/MSP Operations IT Procurement Procurement HR HR Exec HR FInance Audit Legal Security AP Responsible for overall programme execution and operations globally; manages VMS/MSP relationships Div1 Div2 Div3 Div4 Div5 Div6 MSP Director MSP Support MSP Support Has authority and accountability to make decision on behalf of corporation regarding policies, processes, activities; serves as program champion; ultimate decision maker Functional SMEs and other key stakeholders who are responsible for ensuring alignment with business strategy and organizational goals; influence program strategy and direction of the programme VMS/MSP Account Manager Manages all day- to- data programme activity; interacts with/supports all end users; executes programme initiatives VMS Owner MSP Owner Responsible for division- specific execution of operations; provide input from divisional stakeholders; divisional SME VMS Support Responsible for overall programme execution and operations globally; manages client relationships VMS Support Provides advance technical support and issue resolution to client and MSP 4
Establishing a Governance Structure Execution Identify Participants Define Responsibilities RACI Descriptions Operational Planning Meeting cadence Programme charter Communications plan Governance tools Stakeholder engagement Program planning Performance assessment Design Model Based on Programme Characteristics MSP, VMS involvement Programme scope Org structure Programme complexity Divisional representation Functional representation Appropriate level 5
Governance - Operational Planning 1. Establish meetings frequency (regular, ad hoc guidelines), format, content and attendees 2. Define reporting metrics (activity, KPI and SLA measures), frequency and format 3. Define meeting documentation and issue tracking approach and owner 4. Document escalation path criteria for escalation, communication process and people involved 5. Agree upon programme improvement framework forward looking framework that allows for planning, expansion, performance improvement and proactive change; focus on org alignment to program 6. Create a Contingent Workforce Governance Charter outlines objectives of governance team, roles and responsibilities/raci, operational guidelines and model; living document to be updated as changes occur 6
Governance Tools Governance Charter Program Strategy Roadmap (expansions, improvement initiatives) Actions and Issues Log Quarterly Business Review Template Reporting Template 7
CW Governance Recommendations Establish governance model at an early stage, prior to vendor selection if possible, and ensure participation throughout provider selection and implementation Identify and engage executive sponsorship Ensure programme value is well articulated Engage the right level individuals and ensure stakeholder representation from critical functions or areas of the business Address poor group behaviors early (power struggles, group think, lack of engagement/participation) 8
THANK YOU Q & A
Q & A Vince Lattimore (Global Talent Source Lead, Microsoft Corporation Ireland) Shelley Williams (Senior Associate, Brightfield Strategies) Mike McNally (Solutions Director MSP/RPO, Hays Talent Solutions) James Milligan (Director, Hays Talent Solutions - Ireland) Steve Jenkins (Sales Director, PeopleFluent) Joe Slater (EMEA Marketing Director, PeopleFluent)
CONTACT DETAILS Todays Speakers: Vince La)more: Vincent.la)more@microso3.com Shelley Williams: swilliams@brigh;ieldstrategies.com For any further informa<on on MSP or Outsourced programmes from Hays Talent Solu<ons: Mike McNally: mike.mcnally@hays.com M: +44 7958 033203 James Milligan: james.milligan@hays.com M: +353 85 8031198 For any further informa<on on VMS technology solu<ons from Peoplefluent: Joe Slater: joe.slater@peoplefluent.com M: 07810 873444 Steve Jenkins: steve.jenkins@peoplefluent.com M: 07972 357953